FinCEN Real Estate Reporting Requirements Explained
Cash, Crypto, LLC, and Trust Transactions in Residential Real Estate
FinCEN real estate reporting requirements have officially expanded, and many real estate professionals are unaware that they may now be personally responsible for federal reporting in certain transactions. The new deadline for compliance reporting is March 1, 2026.
If you are a real estate agent working with cash home buyers, crypto real estate purchases, LLC property transfers, or trust-owned residential real estate, this update directly affects you.
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What Are the New FinCEN Real Estate Rules?
The Financial Crimes Enforcement Network (FinCEN) now requires reporting of certain non-financed residential real estate transfers as part of its anti–money laundering enforcement.
A transaction may be reportable if it involves:
Residential real estate (1–4 units)
No bank or credit union financing
Cash or cryptocurrency payment
Title transferred into an LLC or trust
No title company or closing attorney involved
In these cases, real estate agents may become the reporting person under federal law.
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Why This Matters for Real Estate Agents
Historically, banks handled anti–money laundering reporting.
Now, non-financed real estate transactions shift that responsibility downstream.
That means:
Increased compliance obligations
Potential civil penalties for non-reporting
Brokerage liability exposure
Licensing risk
This is especially relevant for:
Investors using LLCs
Off-market real estate deals
Private transactions without title companies
High-net-worth buyers using alternative funding
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Common FinCEN Reporting Scenarios in Real Estate
You should seek guidance if your transaction includes:
Cash real estate purchase with no lender
Cryptocurrency used to acquire property
Buyer requests to avoid a title company
Property placed into an LLC or trust at closing
Residential real estate transfer without escrow
Failing to identify these triggers early can place the agent—not the buyer—at risk.
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Get Professional Guidance Before You Close
Seanna Smallwood is a dual-licensed real estate and mortgage professional with over 30 years of experience including but not limited to:
Real estate transaction structuring, negotiations, and transaction management;
Cash, DSCR, LLC, leveraging finance products, investment properties and homeownership strategies; and,
Mortgage finance products, correspondent and brokerage services, and lending risk analysis.
She works with buyers, sellers and her referral partners such as, REALTORS and Certified Financial Advisors — to establish collaborative strategies for managing this new requirement, including providing full-service mortgage products to buyers and sellers via Mpire Financial (NMLS 1252825).
Schedule a Strategy Meeting with initial FinCEN Compliance Review
If you are handling a cash or LLC real estate transaction, do not assume someone else is reporting. Do not assume securing a mortgage isn’t your best option.
Contact: Seanna Smallwood
Website: https://www.SeannaSmallwood.com
Contact Page: https://www.SeannaSmallwood.com/contact
Phone: 240-695-2907
A short mortgage product consultation & compliance review now can prevent serious federal issues later.
